Paramount Skydance reported second quarter revenue of $6.91 billion and diluted EPS of $0.04, missing analyst estimates of $6.88 billion and $0.15, respectively. However, the company delivered a surprise on subscriber growth, adding 2 million Paramount+ subscribers to reach a total of 81.6 million, ahead of guidance for flattish results.
Key Highlights
- Paramount+ subscribers grew to 81.6 million, adding approximately 2 million net subscribers, beating expectations for flattish growth as the company absorbed the exit of 2 million low-margin international bundle accounts.
- The company raised its full-year 2026 adjusted EBITDA outlook to a range of $3.8 billion to $3.9 billion, up from $3.8 billion previously, citing progress on efficiencies.
- Direct-to-Consumer (DTC) revenue increased 9% year-over-year to $2.5 billion, driven by 16% growth in Paramount+ revenue and a 44% increase in DTC adjusted EBITDA to $366 million.
- The TV Media segment continued its decline, with revenue falling 9% year-over-year to $3.1 billion, primarily due to a 14% drop in advertising revenue.